Banks Massively Issue Bonds

The Hanoi Stock Exchange (HNX) has just released information on the issuance of corporate bonds in the first six months.

Accordingly, during this period, 130 businesses issued bonds in 818 batches with successful issuance value of more than 156 trillion dong, reaching nearly 70 percent of the registered offering value.

The average bond issuance term is 3.93 years. In particular, 3-year bonds were issued by most businesses, reaching more than 66 trillion dong.

Particularly in the second quarter of 2020, a total of 81 businesses issued bonds, divided into 522 batches, with a successful issuance value of 117.7 trillion dong, equivalent to over 70 percent of the registered issuance.

Credit institutions and real estate businesses are the two groups that issue the most bonds. In particular, credit institutions successfully issued over 43.3 trillion dong, bonds with an average term of 4.55 years; real estate over 45.5 trillion dong, the average term is 3.84 years.

Leading banks in terms of bond issuance in six months include BIDV, HDBank, VPBank, TPBank, etc. Specifically, BIDV has successfully issued over 16.6 trillion dong with a total of 34 issuances. HDBank raised 10 trillion dong from bond issuance, VPBank 7 trillion dong, etc.

Bonds issued by banks usually have two to three year terms, some banks such as BIDV and VietinBank issued with longer terms, up to 6-15 years, to supplement medium and long-term capital.

 

Category: Finance, Vietnam

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